AUSTELL, Ga. – Electric UTV maker Stealth Manufacturing has gone out of business, CEO Greg Block has confirmed.
The company struggled with lower-than-anticipated demand, which Block attributed to range and cost issues and a fledgling market. After three years, the company just ran out of money.
“We were pursuing an investment or outright sale of the company, but time ran out,” Block said. “My hope is that somebody comes and buys the assets out of liquidation and continues the company. I hope somebody has deep enough pockets and the patience to wait for the market to mature.”
The company’s website has been abandoned and the phone lines dead for a couple of weeks. A collection firm, Asset Recovery Associates, sent creditors a letter Feb. 22 urging them to make claims against Stealth by March 29 if they believe the company owes them money. That is part of a state liquidation process that mirrors a bankruptcy, Block said.
“I’m disappointed that things haven’t worked out for our dealers and distributors,” he added.
The company was formed in Louisiana in 2007 and took out a five-year lease for the business in Georgia in May 2010. The 53,917 sq. ft. facility in Austell became the new headquarters.
Dealers reported they had been unable to reach Stealth this year. Many said the vehicles were a promising line that they will be sorry to lose.
“I signed on in May or June of last year. I did really, really well with them,” said Lon Tesch, owner of Valley Snowmobile & Powersports in Hortonville, Wis. “I know they are basically in bankruptcy, which is unfortunate because they are a really, really good unit.”
Tesch said he hopes someone buys the assets and keeps the company going.
“The new Edge hybrid was going to be a fantastic vehicle for the North. I got one of the last ones that came out of the factory,” Tesch said. “I’m actually looking for another electric UTV brand to pick up. I am looking at a couple of different brands, and gas. I did a really good job with electrics through the promotions I did. It went over very well for a number of different reasons.”
Meanwhile, dealers that received Stealth vehicles with six months’ free floorplan from GE Finance are getting offers to buy their unsold Stealth vehicles for cash at deep discounts. The biggest discounts are offered for those who step up early. (continued)